Not upheld: incorrect credit file reporting and delayed default recording complaint against ETIKA FINANCE UK LIMITED trading as etika

Decision detail

Summary

Mr F complained that Etika incorrectly reported a default on his credit file after his IVA was approved in March 2024, with the default not being recorded until October 2024. Etika defended its actions by explaining it followed the correct legal process of sending statutory notices before recording the default and offered to backdate the default date to the IVA approval date. The ombudsman found that Etika acted fairly and reasonably, noting that it only reports to TransUnion and cannot verify information on Experian or Equifax systems. Without evidence of inaccuracies remaining on those agencies' systems, the ombudsman did not uphold the complaint or award compensation.

The Ombudsman's reasoning

The ombudsman found that Etika acted fairly by following the correct process for recording a default, which required sending statutory notices before recording the default. The ombudsman determined it was reasonable for Etika to only provide confirmation of amendments to TransUnion, the agency to which it directly reports, as it has no visibility of Experian or Equifax systems. Without evidence demonstrating inaccurate information remains recorded with those agencies, the ombudsman did not require Etika to take further action.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website